Can you explain how The RICS Valuation Global Standards 2025 and the RICS GN60 Valuation of medical centres and surgery premises shape your valuation practice?
- The Red Book sets out a consistent, transparent and professional approach to valuation.
- The GN60 (now a professional standard) provides bespoke guidance for GP surgeries and medical centres.
How have your Investment, Asset Management, Development and agency rotations influenced your understanding of comparative and investment methods?
- Investment built my understanding of yields, the Hardcore method and the importance of diversification (particularly given the depressed market I learned in).
- Development gave context and practical application for residual valuations.
- Agency built my understanding of comparable evidence, hierarchy of evidence, incentives and rental tones.
Under what circumstances can automated valuations be used and what checks must be in place to ensure accuracy?
- It can be used where there is sufficient and reliable market evidence, with supervision of a qualified valuer.
- Adequate PII cover should be in place.
How do systematic and specific factors like ESG impact property valuations, specifically in terms of green premiums and brown discounts?
- Systematic factors include market-driven and legislative impact on yields. Such as green premium, brown discount and MEES.
- Specific factors included the cost of retrofitting or operational costs, which impacts rental tone, increase void risks and market value.
What is the essence of formal valuation training in your MSc CRE program and how has it influenced your professional practice?
- As I am a career changer and new to Property, it has been critical in providing the theoretical grounding, in valuation methods, sustainable construction, planning, property management, property law and investment principles.
Can you provide more details on how you utilize Cash Flows, ITZA, residual, DRC, and the profits method in your valuation?
- Cash Flows (DCF) are used in development cashflows.
- ITZA are used to value retail units, in the highstreet with varying frontage and dept ratios.
- Residual valuation is used to value land (difference between the GDV and Costs (including finance & profit).
- DRC is the Discounted Replacement Costs and used where no market evidence exists (such a fire station).
- Profits Method is applied to trade-related properties such as pubs and leisure centres and is linked to operational performance.
How important is Professional Indemnity Insurance and run-off insurance in your scope of work as a valuer?
- It protects both the valuer and client against professional negligence claims.
How do you ensure you remain compliant with the RICS Rules of Conduct in your valuation practice?
- I act with integrity and provide high-quality service.
- I ensure I work within my areas of expertise.
- I maintain my professional development.
- I carry out conflict of interest checks.
- I provide clear and transparent reports.
What is the role of valuation in your responsibilities towards Investment, Asset Management, Development and agency rotations?
- I compiled yield ERVs to determine property valuations for internal use, accounting and disposals.
- It is used to determine market rents in lease negotiations and to understand the valuation uplifts from new lettings and support negotiation strategies.
Can you explain any recent instance where you had to consider both systematic and specific factors in a valuation task?
- At Gledhow Hospital, Leeds, I was tasked with valuing a rental unit on the retail concourse for lease renewal purposes.
- Systematic factors: At the time, the sector was still recovering from a prolonged downturn, with any growth in the prime high street locations. Gledhow was a niche retail environment which affected demand and rental tone.
- Specific factors: The concourse units were subject to restrictions and anti-compete clauses, limiting tenant mix. Footfall was also lower, which impacted trading potential and attractiveness.
- Together, these factors shaped my approach when dealing with a charity lease renewal. I recommended offering more attractive rents, shorter lease terms, and stepped increases as incentives to secure tenant retention in a constrained market.
What was the identified purpose of leasing the vacant expansion space at the Ombersley Medical center?
- The purpose was to lease 225 sqm of vacant expansion space to the existing GP tenant to improve occupancy and enhance asset value. This was part of an internal reporting exercise instructed by the Asset Management Regional Manager to assess the impact of the deal on the property’s market valuation.
How did the leasing impact the property valuation at the Ombersley?
- The leasing of the expansion space led to a valuation uplift. The original valuation was £2,404,000 (net of purchaser costs). After applying the Hardcore Investment Method and factoring in the new lease, the revised valuation was £2,600,000. An uplift of £196,000. This reflected improved income security and reduced void risk.
What software did you use for generating the market valuation for Ombersley and why?
- I used Argus Valuation Capitalisation software. It’s industry-standard for investment valuations and allowed me to model income profiles, apply appropriate yields, and test sensitivities. It also supports the Hardcore Investment Method, which was suitable for this multi-tenanted asset.
What valuation method did you use for Ombersley and why was it suitable for this case?
- I used the Hardcore Investment Method, which is appropriate for multi-tenanted properties with a mix of rack-rented and reversionary elements. It allowed me to reflect the secure income from the GP tenant and the reversionary potential of the newly let space, using different yields to account for risk.
Can you explain why and how you completed market rent appraisals for lease renewals, rent reviews and new lettings?
- I completed market rent appraisals to support leasing decisions and ensure rents were aligned with market evidence.
- I used the comparables method, analysing data from similar medical centres, internal lettings, rent reviews, agency network, and platforms like Rightmove.
- I adjusted for property characteristics, location, timing, and relevance, and ranked evidence using the Red Book hierarchy.
- I then applied a rate per sqm and sense-checked with our Rent Review team and my supervisor.
What is the comparables method and why did you choose to use it for commercial units within multi-tenanted medical centres?
- The comparables method involves analysing recent transactions of similar properties to determine market rent or value. I used it because medical centres often have standardised unit types (e.g. consulting rooms, offices, cafés), making it possible to benchmark rents.
- It’s also recognised under the Red Book and the April 2025 RICS professional statement for valuing medical centres.
Can you explain how you determined the market rents using your listed sources?
- I gathered evidence from internal lease data, local agent intel, rent reviews and Rightmove listings.
- I adjust for property type, size, location, condition, Premises Cost Directions compliance, patient size, age, date of transaction, repairing obligations, lack lift access to upper floors and car parking.
- I ranked them using the hierarchy of evidence as set out in the Red Book
- I then applied this weighted £psm to the subject property and sense checked with the Rent Review team against market tone.
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What factors did you consider when adjusting the base value for property, location, timing and relevancy?
- Condition, location, data of transaction, lease terms, tenant type, incentives and compliance with Premises cost directions and rental tone.
After determining the market rent for Ombersley, what steps did you take next and why?
- I input the market rent into the Argus valuation model, applied appropriate yields, testing the impact on capital value.
Could you speak more about your interactions with your Rent Review team and supervisor during this process?
- I regularly consulted the Rent Review team to validate my market rent assumptions and ensure consistency with wider portfolio benchmarks.
- As I am not a qualified valuer I reviewed my findings, approach and evidence with my supervisor who then signed off on the valuation.
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Valuation Module 152
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Valuation Module 255
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Valuation Module 347
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Measurements25
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RICS53
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Sustainability44
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Purchase & Sale35
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Landlord And Tenant66
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Mandatory19
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CPD2
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Leasing & Letting6
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Inspection1
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Property Management50
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Development Appraisal62
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Ethics Client & Communication116
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Business8
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Data Management28
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Health & Safety17
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Conflict Avoidance & Dispute Resolution37
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Accounting24
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Inspection30
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Valuation 4 - my examples20
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Valuation Main34
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Mandatory Main0
